China Soybean Import Estimate Raised by Oil World on Demand Gain

(Bloomberg)– Russia’s exports of vegetable oils are climbing this season amid higher demand from North Africa, Iran and Turkey, Oil World said.

Soybean, sunflower and rapeseed oil exports will rise to 983,000 metric tons from April through the end of the 2013-14 marketing year on Sept. 30, up from 687,000 tons during the same period last season, the Hamburg-based researcher said in a report. Shipments in the first half of the season totaled 1.39 million tons, up 71 percent from the prior year.

“Russia is gaining an extra edge in world trade of oils and fats this season owing to the record 2013 oilseed crop and the only limited growth of domestic vegetable oil demand,” Oil World said. Shipments “skyrocketed” in the first half of the season because of rising demand from countries including Algeria, Egypt and Morocco, according to the report.

Russia’s net-exports of all oils and fats probably will be a record 1.4 million tons in 2013-14, up from 400,000 tons in the prior season, according to the report. Net exports of all oilseed meals will also be a record at 2.2 million tons, up from 1.1 million tons a year earlier, Oil World said.

Planting of sunflower crops for the 2014-15 season totaled 6.3 million hectares (15.6 million acres) in Ukraine and Russia as of May 8, behind last year’s pace of 6.68 million hectares for the date, Oil World said. The two countries are the top growers. Cumulative soybean planting reached 1.6 million hectares, ahead of last year’s pace of 1.4 million, as “both countries are expected to sizably increase soybean planting this year” because of prospects for increasing profit margins, it said.